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481(a) Adjustment Calculator

The KBKG 481(a) Adjustment Software for Cost Segregation, depreciation & repair deduction minimizes the time needed to properly document and calculate IRC §481(a) adjustments required for IRS Form 3115, Change in Accounting Method. These adjustments are typically necessary when a Cost Segregation study is performed on a building acquired or improved in a prior tax year and reclassifies costs to different depreciable lives or to expense categories under the new Tangible Property Regulations.

What is a 481(a) Adjustment?
Under current IRS rules, the calculation of depreciation or repair deductions for prior years can be recomputed, and a one-time catch-up adjustment (i.e. IRC §481(a) adjustment) is allowed in the current tax year for missed deductions. The adjustment is the difference between depreciation or repair deductions claimed verses depreciation or repair deductions that could have been claimed through the end of the prior tax year. This adjustment is reported on IRS Form 3115 and does not require amending any prior year tax returns.

Features of KBKG’s 481(a) Adjustment Software:

  • Calculates federal regular & AMT values
  • Segregate original asset/building into unlimited sub-assets
  • Input multiple original assets/buildings and respective sub-assets
  • Updated with current tax laws and regulations
  • Provides calculation schedules sufficient for IRS review
  • Export results to excel and PDF

Subscription Options

· $1,499 for annual subscription
· $199 for 24 hour access
· $99 for users of the Residential Cost Segregator™

Subscriptions are online, on-demand access including:
· Comprehensive calculation report to document your file
· Q&A online support

481a Calculator

Meet the Experts

KBKG experts have years of experience and are published authors and national speakers on tax issues.

Gian Pazzia, CCSP
Principal » Biography

Malik Javed, CCSP
Principal » Biography

Lester Cook, CCSP, ASA
Director » Biography

John Hanning, CCSP, MBA
Director » Biography

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